Stoke set to dump building repair deal with Kier

Grant Prior 8 years ago
Share

Stoke-on-Trent City Council is planning to end its £40m-a-year repairs deal with Kier.

The council said “future options are being examined for the maintenance and repair of council housing and public buildings in the city.”

Kier has been carrying out repair work on 18,500 houses and a number of public buildings in the city since a tean-year deal was signed in 2008.

The Kier Stoke joint venture between the council and contractor is due to end in February 2018.

Stoke said its preferred option going forward “is likely to be to create a council-owned company.”

The council added: It would continue the type of work currently undertaken by the same joint venture staff, and would look to provide opportunities for local contractors on longer term arrangements than have previously existed – giving the chance for local businesses to grow.

“In addition, it would create opportunities to carry out third party work as a way of generating income into the council so it can be more sustainable for the future.”

Council leader Dave Conway said: “It is no secret that I have had some concerns with the joint venture with Kier Stoke, but I wanted this review to be undergone fairly, robustly and in a measured way.

“It is right that this has been examined independently in good time ahead of the contract ending in early 2018. We work closely with Kier Stoke and this will continue.

“We don’t want tenants to experience any disruption and we want to further improve services. There should also be no concern for staff at this stage.

“There have been many changes in local government since the joint venture began, and we need to be looking at ways to generate income, while also doing more to support our excellent local businesses in bidding for work locally.”

David Mawson, Kier Housing Maintenance managing director told the Stoke Sentinel: “Given the severe financial pressure that councils are under, it’s understandable that when contracts come to an end they will look to take things back in-house to try to cut cost by being able to cut back the service as budgets dictate.

“It’s obviously a shame because the joint venture has been incredibly successful, but we will work with the council through to February 2018 to provide an excellent service for residents, stability for the Kier Stoke team and our supply chain partners.”

Latest news

Receivers in at £125m Manchester tower developer

Domis Construction walked away from scheme following doubts over funding
6 hours ago

McAlpine pulls out of £55m Carlisle Citadels project

University of Cumbria starts hunt for replacement contractor
4 days ago

Strabag UK suffers further big trading loss

Austrian contractor is gearing up for major presence in the UK market
3 days ago

Durham Uni picks UPP for £130m student scheme

Firm will deliver 1,000 self-catered bed spaces
3 days ago

Architects now upbeat after 10-months of work gloom

Larger practices see rising workloads in next three months
3 days ago

Motorist dies after collision with road paver

Police Scotland investigating fatal crash
3 days ago

McLaren Living appoints HG Construction for £69m scheme

Build to Rent scheme will transform former vacant car park site in Leeds city centre
4 days ago

Squibb liquidator probes £2m of “missing” plant

Machinery, cars and scrap metal have disappeared at demolition specialist
4 days ago

Galliford Try to re-enter affordable homes market

Contractor sets out new five-year plan to build margin to 4%
4 days ago

Former Sellar chief to lead civils contractor Kilnbridge

Owen Dannatt joins as new CEO as founder Dermot McDermott becomes Chairman
4 days ago

Hunt starts for nuclear fusion plant construction partner

Fusion energy plant to be built at West Burton coal power station site.
4 days ago

National Grid raises £7bn for big infrastructure upgrade

Rights issue to fund a major round of capital investment in energy infrastructure
4 days ago

Grenfell police probe to last at least until end of 2025

19 companies and 58 individuals could eventually face charges
4 days ago

Mace confirmed on £100m London office retrofit

Work underway on Helical's 100 New Bridge Street job near Ludgate Circus
5 days ago

Wylfa chosen for next big nuclear power station build

Government names Anglesey site for a large-scale gigawatt nuclear power plant.
5 days ago

Bowmer & Kirkland trading profit halves

Contractor buys HVAC specialist Adcock despite challenging market
5 days ago

Piling specialist Van Elle plans further job cuts

Piling specialist plans further cost savings in face of lower demand
5 days ago

Civils contractor A Catlow files administration notice

High voltage cable specialist lodges court notice
5 days ago

Green light for ARC Oxford lab campus

Work to start later this year on £40m Ascent building job
5 days ago

Stonehenge tunnel hit by another legal delay

Court upholds latest appeal against £1.7bn scheme by campaigners
6 days ago

Plans go in for huge Olympic Park construction hub

Bow Goods Yard could deliver 3.5m tonnes of materials a year to sites across London
6 days ago

40% affordable homes target for Labour’s new towns

Labour pledges to select new town sites by end of first year
6 days ago

Plan for £100m Liverpool Baltic station

Construction work could begin next year
6 days ago

Surgo Construction went down owing £4.5m

Biggest creditor is Bellway Homes after dispute on housing job
6 days ago

Vistry seals £157m West London housing deal

Around 575 homes to be built at Merrick Place scheme in Ealing
6 days ago

Streamlined Watkin Jones returns to profit in first half

Multi-room specialist sees secured work pipeline hit £1.4bn
6 days ago

Bellway hires ex-brickie as group construction chief

James Griffin to oversee move to the Future Homes Standard and timber frame.
6 days ago

Persimmon under fire for delays to £10m relief road

West Suffolk Council serves Breach of Condition Notices after timetable slips again
6 days ago

BAM wins £33m Kent secondary school job

Replacement Swanley academy to be built at live school site
6 days ago

Aluminium cladding specialist collapses

Melton Mowbray-based firm worked for several main contractors
7 days ago

Contractor services